Decentralization efforts in developed countries include various programs in Australia, Canada, New Zealand, Spain, the United Kingdom, and in at least 44 states in the United States. Among the developing countries, Burkina Faso, Brazil, Chile, Colombia, El Salvador, Honduras, India, and Nicaragua have introduced new programs aimed at devolving power to the local schools (Gunnarsson et al. 25)
While studies suggest that decentralized authority can alter resource allocations and improve targeting to the needy, there is less evidence that desired outcomes are enhanced by local control (Gunnarsson et al. 26)
First, populations may not be mobile, so households may not move because of poor quality public services (Gunnarsson et al. 26)
Second, local officials may be subjected to undue influence by prominent local families seeking to divert public resources toward their private needs (Gunnarsson at al. 26)
Finally, local officials may lack the necessary experience or skills to manage resources in countries with few well-educated professionals (Gunnarsson et al. 26)
The move toward more local control is motivated by the belief that decentralized control will result in better school outcomes, holding constant the level of resources devoted to the school (Gunnarsson et al. 25-26)
Faguet (2004) found that when Bolivia devolved authority from the center to the municipal level, resources were reallocated away from large-scale projects to smaller education and sanitation projects and from richer to poorer communities (Gunnarsson et al. 26)